Postal Reform Blog
New Report Shows Postal Reform Within ReachRoss Marchand on January 31, 2019
(This op-ed orginally appeared on Townhall.com on January 31, 2019) On January 27, the United States Postal Service (USPS) hiked up the price of First-Class Forever stamps from 50 to 55 cents, the largest percentage increase in stamp prices since the Civil War. Postal leadership hopes that these increases will help mask historic net losses - most recently, $3.9 billion in fiscal year 2018. The USPS insists that their gargantuan financial issues were caused by Congress, specifically a mandate passed in 2006 that required the agency to set aside money ahead of time for workers’ retirement obligations. A new report by the Taxpayers Protection Alliance (TPA) shows that USPS management can save more than $3.3 billion each year by curtailing waste and reforming its pricing system. TPA also demonstrates that, contrary to the USPS’ claim that it takes no taxpayer money, the agency receives more than $3.6 billion annually in tax expenditures from federal and state governments. With all of the USPS’s resources and reform opportunities, there is simply no reason for large losses to continue.
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Misguided Postal Reform Would Bilk Taxpayers for Billions of DollarsRoss Marchand on September 11, 2018
This article originally appeared in the Daily Caller on May 3, 2018.
Through years of mismanagement and misguided priorities, the U.S. Postal Service (USPS) has dug itself into a deep financial hole. After posting yet another loss of $540 million for the first quarter of the year and enduring net losses for 11 straight years, USPS officials and lawmakers alike are eager to stem the bleeding. On March 22, Sens. Jerry Moran (R-Kan.), Tom Carper (D-Del.), Heidi Heitkamp (D-N.D.), and Claire McCaskill (D-Mo.) introduced a postal reform bill that would make a number of significant changes to USPS operations and liabilities. While some reforms are promising, the heft of the legislation would open the door to further taxpayer subsidization of USPS mismanagement. Cancelling outstanding debt payments and transferring health-related retirement liabilities to Medicare would only set the stage for further taxpayer abuse.
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The Postal Service & Amazon: Crony Capitalism Delivered to Your DoorRoss Marchand on August 27, 2018
This article originally appeared in the American Conservative on April 5, 2018.
The United States Postal Service is deep in the red, with a dwindling list of options available to stop the bleeding. USPS officials and Congress have continually neglected to employ sound financial management, which has resulted in $15 billion in debt and more than $100 billion in unfunded liabilities for the Postal Service. Despite inept leadership, anyone bringing attention to these issues is bound to be repeatedly attacked as a corporate shill trying to harm the USPS.
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USPS cronyism is unaffordable for shippers and customersRoss Marchand on January 03, 2018
The U.S. Postal Service (USPS) is as determined as ever to make customers pay more as they defend ludicrous schemes keeping the agency deep in debt. The cost of First-Class postage is slated to increase from 49 to 50 cents on January 21 as part of a desperate move by postal officials to stem the financial bleeding. As the Taxpayers Protection Alliance (TPA) has previously documented, increases in postage rates promote risky behaviors with non-postal business ventures and shore up liabilities in a massively-underfunded pension system buoyed by unrealistic promises. But, the biggest and ugliest secret lies below the surface in the rampant postal cronyism that disproportionately benefits e-commerce giants such as Amazon. In April, a Citigroup analysis found that Amazon gets roughly$1.50 in shipping subsidies from every package delivered via the Postal Service.
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TPA Sends Letter to Senators Urging Restoration of Leadership to the USPS Board of GovernorsMichi Iljazi on May 24, 2017
The following letter was sent to Senators Claire McCaskill (D-Mo.) and Ron Johnson (R-Wisc.) on May 24, 2017.
Dear Senator McCaskill and Senator Johnson,
The U.S. Postal Service (USPS) is one of our nation’s oldest and largest government entities. For decades, consumers have relied upon the stability and function of the USPS to aid them in their everyday lives. However, over the last several years this has changed and the USPS has deteriorated through its escalating financial losses, failing performance standards, and lack of leadership within the Board of Governors. As a national taxpayer advocate representing hundreds of thousands of taxpayers, the Taxpayers Protection Alliance (TPA) write this letter to urge you to continue to help advance solutions, beginning with an urgent need to restore leadership to the Board of Governors to aid in the proper functioning of the U.S. Postal Service.
Click "read more" below to see the full letter
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Taxpayers Protection Alliance Releases Statement on U.S. Postal Service’s Mid-Year Financial ReportMichi Iljazi on May 10, 2017
WASHINGTON, D.C. – Today, the Taxpayers Protection Alliance (TPA) expressed dismay about the U.S. Postal Service’s (USPS) continuing escalating debts. In today’s release, the USPS posted a loss of $562 million in its second quarter financial report for the 2017 fiscal year. This loss is a stark reminder about the agency’s inability to achieve fiscal stability. After posting losses during the December holiday delivery season, the USPS appears on track for its 11th consecutive fiscal year in the red. The USPS has failed to pay its retiree health benefits payments despite its legal obligation to do so. Even though they have failed to pay this obligation, they have included this unpaid figure as a part of its quarterly losses. After amassing these debts, and many others as a result of bad management practices, the Government Accountability Office (GAO) has calculated that the Postal Service now carries more than $121 billion in unfunded liabilities on its books.
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